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around PMC Wagner. In particular, then air carriers offered to fly from Moscow to Yerevan (Armenia) for about 200,000 rubles – above the average price at this time of the year by over 1,000%. Despite such high prices, on June 24 there were no direct tickets to Istanbul, Astana and Tbilisi, while the airfare to Dubai cost 350,000 rubles. The situation has now normalized, although there are still quite expensive airfares to such destinations as Tbilisi and Belgrade.
The Russian government has announced plans to allocate RUB41.8bn ($500mn) from the National Wealth Fund to Kazan Aviation Plant for the expansion of Tu-214 passenger aircraft production, Prime Minister Mikhail Mishustin said on June 22.
Mishustin announced the details during a government session focused on the national aviation industry that is trying to boost domestic production of aircraft after the major international platemakers ceased doing business with Russia.
The funding will support the project for mass production of Tu-214 aircraft, with the goal of increasing production capacity to 20 planes per year. Currently, the plant aims to reach a capacity of 10 planes by 2025.
Governor of the Republic of Tatarstan, Rustem Minnikhanov, expressed optimism that the plant may achieve the capacity of 20 planes per year earlier than the initially projected year of 2027.
“If we solve the financial problems and if we work out everything in detail ... we will take control of everything and implement the task. We may be able to shorten the deadline slightly from 2027,” Minnikhanov said as cited by Prime.
Vadim Korolyov, managing director of aircraft producer Tupolev, highlighted the strong demand for the Tu-214 aircraft, with confirmed orders for 150 units until 2032, Prime reports.
Currently, there are firm contracts for 20 Tu-214s, letters of intent for 67 aircraft, and requests from potential customers for 61 planes. Localization of the production stands at 87%, and efforts are underway to drive it to 100% by the end of 2024, according to Korolyov.
Mishustin stressed the significance of scaling up production of the mid-range narrow-body twin-engine passenger aircraft Tu-214. He also emphasized the importance of developing a comprehensive plan for national aircraft production, including after-sale support, as Russia tries to replace many of the services that the international aviation companies used to provide. Mishustin highlighted the government's responsibility to ensure the availability of reserves and component parts for the aviation industry.
The Tu-214 aircraft, with 210 passenger seats and a flight range of up to 6,500 kilometres, is currently used by Rossiya Special Flight Unit to transport top
140 RUSSIA Country Report July 2023 www.intellinews.com